Buffett’s NetJets Countersued by U.S. for Unpaid Taxes

March 9 (Bloomberg) -- NetJets Inc., the private-plane
company owned by Warren Buffett’s Berkshire Hathaway Inc., was
countersued by the U.S. over $366 million in taxes and
penalties.

NetJets in November sued the U.S., saying the federal
government had wrongly imposed taxes, interest and penalties
totaling more than $642.7 million.

Claiming the federal Internal Revenue Service wrongfully
assessed a so-called ticket tax -- an excise tax on payments
made in exchange for air transportation -- to private aircraft
owners maintaining their own planes, the Columbus, Ohio-based
company demanded refunds and abatements.

The federal government, in a revised answer and countersuit
filed yesterday in federal court in Columbus, rejected NetJets’
claims and alleged that four of the company’s units owe unpaid
taxes and penalties.

NetJets Aviation Inc. owes more than $302.1 million, and
another unit, NetJets International, is liable for $52.9
million, the U.S. said. Executive Jet Management Inc. owes $10
million while NetJets Large Aircraft owes $1.19 million, the
U.S. claimed.

“NetJets doesn’t comment on pending litigation,” General
Counsel Colleen Nissl said in a statement e-mailed to Bloomberg
News.

The case is NetJets Large Aircraft Inc. v. U.S., 11-cv-01023, U.S. District Court, Southern District of Ohio
(Columbus).